04.21.2009 Supreme Court Issues Important Antitrust Ruling on “Price Squeeze” Claims
In late February, the U.S. Supreme Courtissued a significant antitrust decision, Pacific Bell Telephone Co. v. Linkline Communications Inc., 2009 U.S. Lexis 1635, 555 U.S. --- (Feb. 25, 2009) (“Linkline”), that clarifies the circumstances in which “price squeeze” claims under the Sherman Act will be permitted. The decision provides clear direction to entities engaged in both wholesale and resale product distribution that “squeezing” the margins of their wholesale customers will not create antitrust liability under Section 2 of the Sherman Act in all but the most limited of cases.

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